2001-298RESOLUTION NO. 2001R-298
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ANAHEIM AMENDING RESOLUTION NO. 98R-244, WHICH
ESTABLISHED A DEFERRED COMPENSATION PLAN TRUST
TO ALLOW FOR AN INCREASE IN THE NUMBER OF
DEFERRED COMPENSATION COMMITTEE MEMBERS
WHEREAS, the City Treasurer has recommended in a staff report dated December 11, 2001,
that Resolution No. 98R-244 be amended in the manner herein set forth, effective January 1, 2002;
and
WHEREAS, an outside consultant has recommended that the number of Deferred
Compensation Committee members be increased; and
WHEREAS, the City Council of the City of Anaheim does find that the aforementioned
amendment is in the best interest of the City of Anaheim;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Anaheim that
the City of Anaheim Deferred Compensation Plan Trust (hereinafter called "Plan Trust") be
amended and restated. A copy of the Plan Trust is attached as Exhibit "C".
BE IT FURTHER RESOLVED by the City Council of the City of Anaheim that the effective
date of this Plan Trust shall be January 1, 2002.
BE IT FURTHER RESOLVED that, except as amended herein, Resolution No. 98R-244
shall remain in full force and effect.
THE FOREGOING RESOLUTION is approved and adopted by the City Council of the City
of Anaheim this 11 th day of December 2001.
MAYOR OF THE
ATTEST:
C2TY CLEI~X OF THE CITY OF ANAHEIM
APPROVED AS ~ F%RM:
T(~RIq F THE CI~-Y OF ANAHEIM
H:\DEFCOMP\RESOLUTION NO 01R-Committee.doc
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.
CITY OF ANAHEIM )
I, SHERYLL SCHROEDER, City Clerk of the City of Anaheim, do hereby certify that the foregoing
Resolution No. 2001R-298 was introduced and adopted at a regular meeting provided by law, of
the Anaheim City Council held on the 11th day of December, 2001, by the following vote of the
members thereof:
AYES:
MAYOR/COUNCIL MEMBERS: Feldhaus, Tait, Kdng, McCracken, Daly
NOES:
MAYOR/COUNCIL MEMBERS: None
ABSTAINED:
MAYOR/COUNCIL MEMBERS: None
ABSENT:
MAYOR/COUNCIL MEMBERS: None
CI:DY CLERK~F TH~ CITY OF ANAHEIM
(SEAL)
EXHIBIT C
CITY OF ANAHEIM
SECTION 457 DEFERRED COMPENSATION PLAN TRUST
ARTICLE I - CREATION OF TRUST
1.1 Effective Date. The City of Anaheim Section 457 Deferred Compensation
Plan Trust shall be effective on January 1, 1999.
1.2 Name of Trust. The name of the trust created by this instrument shall be
the City of Anaheim Section 457 Deferred Compensation Plan Trust.
1.3 Purpose of Trust. This Trust has been established to fulfill the obligations
of the City of Anaheim to comply with the requirements of Section 457 (g) of the
United States Internal Revenue Code of 1986, as amended. Specifically, assets of
the Trust are to be held for the exclusive benefit of Participants and Beneficiaries
under the Plans (as defined below), and shall not be available for use by the City
of Anaheim or creditors of the City of Anaheim.
1.4 Selection of Trustees. The members of the Deferred Compensation
Committee of the City of Anaheim shall serve in the capacity of Trustees. The
Deferred Compensation Committee members shall serve as the Trustees of the
Trust.
ARTICLE II - TRUST ASSETS
2.1 Trust Assets. The Trust assets shall consist of all contributions and
earnings thereon made under the Deferred Compensation Plan and the Deferred
Compensation Plan for Employees Not Covered By CALPERS collectively
(hereinafter referred to as "the Plan,") less payments made under the terms of the
Plan including fees and expenses. If the assets of this Trust are invested in an
annuity contract or custodial account, the Trustees shall own the contract or
account.
2.2 No part of the Trust Fund shall be used for, or diverted to, purposes other
than for the exclusive benefit of the participants, former participants with an
interest in the Plan, or beneficiaries of a deceased participant having an interest
in the Fund at the death of the participant.
ARTICLE III - TRUST DUTIES AND RESPONSIBILITIES
3.1 Administration of Deferred Compensation Program. The City Council shall
approve a written document which sets forth the requirements of the Plan. The
Plan may be amended from time to time to reflect changes in the law affecting the
management of the Plan, to modify administrative provisions to facilitate the
operations of the Plan, and to make such other changes which are in the best
interest of the participants and beneficiaries.
3.2 Fiduciary Standard of Conduct. The Trustees, and all other fiduciaries,
shall discharge their duties with respect to this Plan solely in the interest of the
participants and beneficiaries of the Plan. Such duties shall be discharged for
the exclusive purpose of providing benefits to the participants and beneficiaries
and defraying expenses of the Plan. The Trustees shall discharge their duties in
accordance with applicable law.
3.3 Selection of Investment Options. The Trustees shall be responsible for the
selection of investment options, and shall monitor and evaluate the investment
options. The Trustees may make one or more investment options available to the
participants. The Trustees may at any time revise or remove all or any number of
the options that are available to the Participants. The specific details of the
administrative requirements shall be enumerated in the Deferred Compensation
Plan.
3.4 No Guarantee Against Investment Loss or Depreciation. Neither the City of
Anaheim, the Trustees, nor designees of the Trustees, shall be liable for any
losses incurred by virtue of following a Plan Participant's or Beneficiary's
directions regarding an investment option or with any reasonable administrative
delay in implementing such directions. If a participant transfers funds from a
former investment option, the Trustees shall not be responsible for the propriety
of any investment under the former investment plan.
3.5 Duty to Account. The Trustees, or designees, shall be responsible for
preparing a statement of all individual accounts on an annual basis, at minimum.
Such accounts shall reflect the contributions made into a participant's account,
the earnings, gains and losses that are credited thereto.
3.6 Trustee Actions. Every action taken by the Trustees shall be presumed to
be a fair and reasonable exercise of the authority vested in or the duties imposed.
The Trustees shall be deemed to have exercised reasonable care, diligence and
prudence and to have acted impartially as to all persons interested, unless the
contrary is proven by affirmative evidence.
2
3.7 Indemnification. The Trustees shall be indemnified and h~ld harmless by
the City from and against any and all liability to which the Trustees may be
subjected, including all expenses reasonably incurred in its defense, for any
action or failure to act resulting from compliance with the instructions of the City,
the employees or agents of the City, the Plan Administrator, Plan Participants and
Beneficiaries, or any other fiduciary to the Plan validly given pursuant to the
terms of the Plan, and for any liability arising from the actions or non-actions of
any predecessor Trustee, custodian, or their fiduciaries of the Plan.
ARTICLE IV -CONCLUDING PROVISIONS
4.1 Amendment or Termination. The provisions of this trust may be amended
or terminated by the City Council of the City of Anaheim by adoption of a
Resolution specifying the desired changes to be made or the terms under which
the termination will be accomplished.
4.2 Captions. The captions appearing in this instrument are for convenience of
reference only, and shall be disregarded in determining the meaning and effect of
the provisions of this instrument.
4.3 Severability Clause. If any provision of this instrument is invalid, that
provision shall be disregarded, and the remainder of this instrument shall be
construed as if the invalid provision had not been included.
4.4 California Law to Apply. All questions concerning the validity,
interpretation, and administration of this instrument, including any trusts created
under this instrument, shall be governed by the laws of the State of California.
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